Sula Vineyards shares end 7% below issue price on debut: Anil Singhvi recommends investment with long-term view

Earlier today, Zee Business Managing Editor Anil Singhvi had predicted listing of this stock near its issue price. He had recommended a buy in this issue with a long-term view or after the listing of the stock, emphasizing that the stock would not likely be listed at high premium

Sula Vineyards IPO: Sula Vineyards Limited shares ended over 7 per cent lower from the issue price on NSE. Source: PTI

Sula Vineyards IPO: Sula Vineyards Limited shares ended over 7 per cent lower from the issue price on NSE. The stock which listed on Thursday, December 22, made a flat debut at Rs 361 against an issue price of Rs 357, registering just 1 per cent in listing gains.

The momentum in Sula Vineyards shares deteriorated as the session progressed, following the overall fall in the stock markets.

The counter ended at Rs 329.90 on the NSE, down by Rs 27.10 or 7.59 per cent. The intraday high was Rs 363.30 while intraday low was Rs 328.30. On BSE, the stock closed at Rs 331.15, down by Rs 26.85 or 7.50 per cent. It was listed at Rs 358.

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Earlier today, Zee Business Managing Editor Anil Singhvi had predicted listing of this stock near its issue price. He had recommended a buy in this issue with a long-term view or after the listing of the stock, emphasizing that the stock would not likely be listed at high premium.

He had advised against investment for listing gains. Those who had still invested in this stock were advised to keep a stop loss of Rs 340. Long-term investors can hold this stock, he said on listing day.

Long-term investors can buy on significant declines as the growth potential remains immense in this stock, he added.

Sula Vineyards is a leader in wine business with a market share of around 50 per cent.

He said that the right way to invest in new issues is to either buy with long-term view, or after the stock is listed. It is not the opportune time for investing for listing gains, he opined.

Meanwhile, domestic frontline indices S&P BSE Sensex and NSE Nifty50 fell for third consecutive session today as concerns around the new Covid-19 wave take root. While Sensex ended below 61,000, the broader market Nifty50 finished and 18,127 dragged by metal, auto bank stocks.

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